Location: Meade County, KY | Metro: Meade County, KY HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $740 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $970 |
| 3 Bedrooms | $1,320 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $970 | $202,508 | 0.48% | F |
| 3BR | $1,320 | $301,775 | 0.44% | F |
U.S. Census Bureau data (2024)
The ZIP code 40108, located in Brandenburg, KY, presents an interesting scenario for both renters and landlords when considering housing affordability. The median household income in this area stands at $77,559, which provides a baseline for understanding the financial capacity of residents.
To frame it from the renter's perspective, let's examine the median income against the market rent rate. According to the Census ACS, the market rate for rent in ZIP 40108 is $912 per month. This means that a household earning the median income would spend approximately 13.7% of their monthly income on rent at market rates. While this is manageable, it does represent a significant portion of disposable income.
When comparing the market rate to the Housing Choice Voucher Program's Fair Market Rent (FMR), the numbers align closely. For fiscal year 2024, the FMR in ZIP 40108 is set at $890 per month. This indicates that households receiving vouchers can afford rent at slightly below market rates, leaving them with a small cushion. The difference between the market rate and the FMR is minimal, suggesting that voucher recipients are not far off from being able to pay market rates if they had additional resources.
Given that 23.0% of the population are renters and the total population is 12,821, the number of potential renters in ZIP 40108 is around 2,949. This relatively low percentage of renters implies a smaller pool of tenants, increasing competition among landlords for available rental properties. Landlords must consider the balance between accepting voucher payments, which are reliable but fixed, and cash-paying tenants who might offer higher rents.
The affordability gap in ZIP 40108 means that landlords could face challenges in attracting cash-paying tenants willing to meet the full market rate. However, the proximity of the FMR to the market rate suggests that voucher tenants are a viable option, especially given the reliability of government payments.
Takeaway for Landlords:
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.